82 FR 32200 - Sassan Bassiri, D.D.S.; Decision and Order

DEPARTMENT OF JUSTICE
Drug Enforcement Administration

Federal Register Volume 82, Issue 132 (July 12, 2017)

[Federal Register Volume 82, Number 132 (Wednesday, July 12, 2017)]
[Notices]
[Pages 32200-32202]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-14597]


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DEPARTMENT OF JUSTICE

Drug Enforcement Administration


Sassan Bassiri, D.D.S.; Decision and Order

    On February 7, 2017, the Assistant Administrator, Diversion Control 
Division, Drug Enforcement Administration (DEA), issued an Order to 
Show Cause to Sassan Bassiri, D.D.S. (Applicant), of King, North 
Carolina. The Show Cause Order proposed the denial of his application 
for a DEA Certificate of Registration on the ground that he has ``been 
excluded from participation in a program pursuant to 42 U.S.C. 1320a-
7(a).'' Government Exhibit (GX) H, at 1 (citing 21 U.S.C. 824(a)(5)).
    With respect to the Agency's jurisdiction, the Show Cause Order 
alleged that on February 9, 2016, Applicant ``applied for a DEA 
[Certificate of Registration] as a practitioner in Schedules II-V'' at 
the registered address of 226 Kirby Road, King, North Carolina. Id. at 
2.
    Regarding the substantive ground for the proceeding, the Show Cause 
Order alleged that on February 28, 2014, the Office of the Inspector 
General for the U.S. Department of Health and Human Services (HHS) 
notified Applicant that, effective March 20, 2014, he would be excluded 
from participation in any capacity in the Medicare, Medicaid, and all 
Federal health care programs for five years because he was convicted of 
a

[[Page 32201]]

program-related offense pursuant to Sec.  1128(i) of the Social 
Security Act (SSA). Id. (citing 42 U.S.C. 1320a-7(a) and (i)). As a 
result, the Order stated that Applicant's exclusion from participation 
in federal health care programs ``constitutes grounds to deny [his] 
application under 21 U.S.C. 824(a)(5).'' Id. at 3.
    The Show Cause Order notified Applicant of (1) his right to request 
a hearing on the allegations or to submit a written statement in lieu 
of a hearing, (2) the procedure for electing either option, and (3) the 
consequence for failing to elect either option. Id. (citing 21 CFR 
1301.43). The Show Cause Order also notified Applicant of his right to 
submit a corrective action plan. Id. at 3-4 (citing 21 U.S.C. 
824(c)(2)(C)).
    From February 7, 2017 through February 18, 2017, the Government 
states that it attempted to serve the Show Cause Order on Applicant by 
U.S. Mail, electronic mail, Federal Express, U.S. Postal Service 
Certified Mail, and in-person. Government Request for Final Agency 
Action (Request or RFFA), at 4. As evidenced by the signed return 
receipt card, on February 18, 2017, the Government accomplished 
service. GX I.
    On April 17, 2017, the Government forwarded its Request for Final 
Agency Action and evidentiary record to my Office. In its Request, the 
Government represents that Applicant neither requested a hearing nor 
``filed any written statement in lieu of a hearing or requested a 
Corrective Action Plan (CAP).'' RFFA, at 4. Based on the Government's 
representation and the record, I find that more than 30 days have 
passed since the Order to Show Cause was served on Applicant, and he 
has neither requested a hearing nor submitted a written statement in 
lieu of a hearing. Id. (citing 21 CFR 1301.43(d)). Accordingly, I find 
that Applicant has waived his right to a hearing or to submit a written 
statement and issue this Decision and Order based on relevant evidence 
submitted by the Government. I make the following findings.

Findings of Fact

    Applicant is a doctor of dental surgery. Applicant was previously 
registered with the DEA as a practitioner in schedules II-V pursuant to 
Certificate of Registration BB8537738. However, he surrendered this 
Registration to DEA on May 10, 2011. GX A. On February 9, 2016, 
Applicant applied for a DEA Certificate of Registration as a 
practitioner in schedules II-V with a registered address at 226 Kirby 
Road, King, North Carolina. GX G.
    On March 17, 2011, the North Carolina State Board of Dental 
Examiners found that Applicant had intentionally defrauded the North 
Carolina Division of Medical Assistance (Medicaid), which led to the 
revocation of his dental license starting in April 2011. GX F, at 2-3. 
On January 2, 2013, Applicant entered a guilty plea in the United 
States District Court for the Middle District of North Carolina to 
three charges of health care fraud in connection with a scheme to 
defraud the North Carolina State Medicaid program, in violation of 18 
U.S.C. 1347. GX C. On May 10, 2013, a federal court entered judgment 
and sentenced Applicant to a term of imprisonment of five months on 
each count, but provided that the sentences would ``run concurrently 
with each other,'' followed by five months of home confinement. GX D, 
at 2, 4. The sentencing judge also ordered Applicant to pay a $10,000 
statutory fine and $68,795.65 in restitution to the Medicaid program, 
and further ordered that Applicant be on supervised release for two 
years after the conclusion of his sentence. Id. at 3, 5.
    The record also includes a February 28, 2014 letter from HHS 
notifying Applicant that he was ``being excluded from participation in 
any capacity in the Medicare, Medicaid, and all Federal health care 
programs as defined in section 1128B(f)'' of the SSA ``for the minimum 
statutory period of five years.'' GX E, at 1 (emphasis in original). 
The letter explained that Applicant was being excluded ``due to [his] 
conviction . . . in the United States District Court for the Middle 
District of North Carolina, of a criminal offense related to the 
delivery of an item or service under the Medicare or a State health 
care program.'' Id. The letter states that ``[t]his action is being 
taken under section 1128(a)(1) of the [SSA] \1\ and is effective'' on 
March 20, 2014. Id. (citing 42 U.S.C. 1320a-7(a)).\2\
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    \1\ Section 1128(a)(1) of the SSA is codified at 42 U.S.C. 
1320a-7(a)(1).
    \2\ The letter also notes that ``[w]e are aware that you are 
currently excluded from participation in the Medicare and State 
health care programs under section 1128(b)(4)'' of the SSA based on 
a February 29, 2012 letter from HHS to Applicant because North 
Carolina revoked his dental license starting in April 2011. Id.; GX 
B, at 1 (citing 42 U.S.C. 1320a-7(b)); GX F, at 3. HHS specified 
that the exclusion set forth in its 2014 letter was ``in addition to 
that [2012 exclusion] action and will run concurrently with it.'' GX 
E, at 1.
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    On February 3, 2016, the North Carolina State Board of Dental 
Examiners issued an order placing Applicant under a restricted license 
allowing him to resume practicing dentistry subject to certain 
limitations, including that he practice for one year ``under the 
supervision of a [North Carolina licensed] dentist'' and only practice 
(with the Board's prior approval) at an institution like a hospital or 
sanatorium, a non-profit health care facility servicing low-income 
patients, or for a State of North Carolina government agency or entity. 
GX F, at 7-8. After one year, the Board also stated that Applicant may 
either renew his restricted license or seek an unrestricted dental 
license. Id. at 9.

Discussion

    Pursuant to 21 U.S.C. 824(a)(5), the Attorney General is authorized 
to suspend or revoke a registration issued under section 823 of Title 
21, ``upon a finding that the registrant . . . has been excluded . . . 
from participation in a program pursuant to section 1320a-7(a) of Title 
42.'' ``It is well established that the various grounds for revocation 
or suspension of an existing registration that Congress enumerated in 
[Sec.  824(a)] are also properly considered in deciding whether to 
grant or deny an application under [Sec.  823].'' Arthur H. Bell, 80 FR 
50035, 50037 (2015) (citing The Lawsons, Inc., 72 FR 74334, 74337 
(2007); Anthony D. Funches, 64 FR 14267, 14268 (1999); Alan R. 
Schankman, 63 FR 45260 (1998); Kuen H. Chen, 58 FR 65401, 65402 
(1993)); see also Serling Drug Co. and Detroit Prescription Wholesaler, 
Inc., 40 FR 11918 (1975) (holding that the CSA does not require the 
Agency to indulge in the useless act of granting a license on one day 
only to withdraw it on the next). Thus, the allegation that Applicant 
has been excluded from participation in a program pursuant to 42 U.S.C. 
1320a-7(a) is properly considered in this proceeding. See Bell, 80 FR 
at 50037 (finding that the allegation that Respondent had materially 
falsified his application pursuant to Sec.  824(a)(1) was properly 
considered in application denial proceeding).
    Under Sec.  1320a-7(a)(1), HHS is required to exclude from 
participation in any Federal health care program any individual who has 
been convicted of a criminal offense ``related to the delivery of an 
item or service under [42 U.S.C. 1395 et seq.] or under any State 
health care program.'' Based on the 2014 letter, I find that the 
evidence shows that HHS excluded Applicant from participation in any 
federal health care program based on his federal convictions for health 
care fraud. Applicant has thus been excluded pursuant to the mandatory 
exclusion provisions of 42 U.S.C. 1320a-7(a). Accordingly, I will order 
that his application be denied.

[[Page 32202]]

Order

    Pursuant to the authority vested in me by 21 U.S.C. 823(f), as well 
as 28 CFR 0.100(b), I order that the application of Sassan Bassiri, 
D.D.S., for a DEA Certificate of Registration as a practitioner be, and 
it hereby is, denied. The Order is effective immediately.

    Dated: July 2, 2017.
Chuck Rosenberg,
Acting Administrator.
[FR Doc. 2017-14597 Filed 7-11-17; 8:45 am]
 BILLING CODE 4410-09-P